Guwahati: The Union Finance Minister Nirmala Sitharaman on Friday presented her maiden budget for the financial year 2019-20 in the Parliament.
Here are the lists of things that have become cheaper or costlier after the announcement of the Union Budget today:
As per the budget report, there will be hike in both Petrol and Diesel price by Re 1 after the government proposed to charge an additional cess.
The government also proposed to raise import duty on gold and precious metal to 12.5 per cent from 10% earlier, a move which would make the yellow metal and jewellery expensive in the domestic market.
It is to be noted that Electric vehicles may become more reasonably priced after an additional income tax deduction of Rs 1.5 lakh will be available on installment for a loan taken to purchase these vehicles.
Union Minister Sitharaman also mentioned the tax deduction will lead to a saving of Rs 2.5 lakh to an individual over the loan period.
Import of defence equipment, not manufactured in India, has been excused from basic customs duty.
Imported books will become expensive, considering the imposition 5% customs duty on the same.
Raw material for artificial kidney (hemodialysis) has become cheaper.
Here's a list of other things that have become costlier:
Imported Automobile Parts, Imported Loud-Speakers, Imported Plugs, Sockets, Switches, Cigarettes, Chewing Tobacco, CCTV & IP Cameras, Metal Fittings, Imported Split AC, Imported Cashew Kernels, Imported Platinum.
Also have a glimpse of the final look of the Union budget presented by the FM in her speech in the parliament on Friday:
Taxes:
There is no change in personal income tax rates
Fuels and gold to get pricier as the Government has hiked custom duty on fuel, gold and precious items
Increase in surcharge for the super rich: people earning Rs 2 crore are liable to pay 3% surcharge; earners with Rs 5 crore and above are charged with 7% surcharge
The annual turnover limit for 25% Corporate tax raised from Rs 250 crore to Rs 400 crore.
Taxpayers with annual turnover of less than Rs 5 crore will have to file quarterly only.
An increase in direct tax revenue by 78%
An Additional deduction of Rs 1.5 lakh on home loans
People who don’t have PAN card, can interchange it with Aadhaar for ITR
2% TDS on withdrawals of Rs 1 crore in a year from bank accounts for business payments
Transportation:
Transportation is going to be much convenient for the people of the nation with the National transport card. Finance Minister introduces an Inter-operable One Nation One transport card which can be used on various modes of transport (road, railways etc). Moreover, this transport card can also be used as an ATM card for withdrawing money from the ATM machines.
Further plans for creating MRO (Manufacturing, Repair and Operate) industry
PPP to be used to unleash faster development and the delivery of passenger freight services.
Restructuring of National Highways Programme for creation of National Highways Grid.
Vision to use rivers for cargo transport with a motive to decongest roads and railways.
Affordable housing for people as government is to provide additional income tax deduction of Rs 1.5 lakh on the interest paid on the loans taken to purchase EVs.
Economy:
Fiscal deficit in FY19 at 3.3% of the GDP
Government will start raising part of borrowing in foreign currency
Government’s external debt to GDP is among the lowest in the world.
Women empowerment:
Terming the women of the nation as ‘Nari tu Narayani’, Sitharaman states plans for the expansion of Women SHG Interest Subvention Programme to all districts in India
A loan of Rs 1 lakh loan for SHG women members
A facility to avail Rs 5,000 rupees overdraft to every verified woman SHG member having a Jan Dhan account.
Railways:
A new PPP model to be introduced in the Indian railway.
Railways to be encouraged to invest more in suburban rail network via SPVs
Need for an investment of Rs 50 lakh crore between 2018 and 2030 in the Railway infrastructure.
Education:
‘Study in India’ programme to be introduced by the government to attract foreign students
Allocate Rs 400 crore for world-class higher education institutions in FY20
New education policy to be unveiled
Research in the country to be funded, coordinated and promoted by the National research foundation.
New Higher Education Commission with a focus on higher autonomy
New national education policy to usher in changes in school, higher education
Banking reform:
* On purchase of high-rate pooled assets of NBFC amounting of Rs 1 lakh core in this FY, govt will provide one-time 6 month credit guarantee.
* Propose to provide Rs 70,000 crore capital for PSU Banks.
* Regulation of HFCs (Housing Finance Cos) to move to RBI from National Housing Bank.
Divestment:
* Govt to modify present policy of retaining 51% stake in PSUs.
* Govt to continue with strategic divestme ..
MSME:
* Propose easing angel tax for startups.
*Angel tax: Wont require scrutiny from I-T department for startup.
* 2% interest subvention for GST-registered MSME on fresh or incremental loans.
* ‘Stand Up India' Scheme to continue till 2025.
* New television channel for start-ups.
* Pension benefit extended to retail traders with annual turnover less than Rs 1.5 crore.
* New payment platform for MSMEs to be created.
Tourism:
*17 iconic world-class tourist sites to be developed.
FDI:
* Local sourcing norms will be relaxed for the single-brand retail sector.
* Govt to open FDI in aviation, insurance, animation AVGC and media.
Investment:
* Existing KYC norms for FPIs to be rationalized and simplified to make it more investor-friendly.
* Long-term bonds for the market.
* To allow FIIs & FPIs investment in debt securities issued by NBFCs.
* Credit Guarantee Enhancement Corporation to be set up long-term bonds with a specific focus on infra sector
* Propose Social Stock Exchange under SEBI for listing social enterprises & voluntary organizations.
* To merge NRI portfolio route with FPI route.
*To hike statutory limit for foreign investment in some companies.
* To set up a credit guarantee enhancement corporation.
* Govt will take up measures to make RBI & SEBI depositories inter-operable.
* SEBI to mull increasing minimum public shareholding to 35% from 25%.
* User-friendliness of trading platforms for corporate bonds will be reviewed, including issues arising out of capping of International Securities Identification Number.
* To deepen corporate tri-party repo market in corporate debt securities. Plan to enable stock exchanges to allow AA rated bonds as collateral.
* Annual Global Investors' Meet for attracting global players to come and invest in India.
*To allow FPIs to subscribe to listed debt papers of REITs.
Agriculture:
* Govt to promote innovative zero Budget farming.
* 10,000 new farms produce organizations.
* 80 Livelihood business incubators and 20 technology business incubators to be set up in 2019-20 under ASPIRE to develop 75,000 skilled entrepreneurs in agro-rural industries.
Space:
*India has emerged as a major space power. It is time to harness our ability commercially.
* A public sector enterprise, New Space India Limited (NSIL) has been incorporated to tap benefits of ISRO.